US President Donald Trump acknowledged that the 50% tariff imposed on India has caused a “rift” between the countries, describing the penalty as a “big deal” during a Fox News interview on Friday as his administration weighs expanding sanctions against Moscow.

“Look, India was their biggest customer. I put a 50 per cent tariff on India because they’re buying oil from Russia. That’s not an easy thing to do. That’s a big deal and it causes a rift with India,” Trump said, while claiming he had done “a lot” on sanctioning Russia for its refusal to make peace in Ukraine.

The acknowledgment of tensions comes as the administration considers expanding sanctions against Moscow following Trump’s high-profile meeting with Russian President Vladimir Putin in Alaska last month, which failed to yield a breakthrough in Ukraine peace talks.

Reports in international media suggest Washington has pushed the European Union to impose 100% tariffs on India and China for purchasing Russian energy, indicating the administration’s broader strategy to pressure Moscow’s energy customers.

Bloomberg reported on Friday that the US will urge its allies in the Group of Seven (G7) to impose tariffs as high as 100% on China and India for their purchases of Russian oil in an effort to convince Putin to end his war in Ukraine.

The US, the report added, will also tell the G-7 countries they should create a legal pathway to seize immobilised sovereign Russian assets and consider seizing or using the principle of those assets to fund Ukraine’s defense, according to a US proposal seen by Bloomberg.

Trump’s assessment on Friday of the bilateral “rift” coincides with what appears to be a cautious improvement in India-US ties, with both countries agreeing to restart trade talks that stalled in August.

Sergio Gor, Trump’s nominee for US Ambassador to India, told senators on Thursday that the two sides were “not far apart” on resolving trade and tariff disputes, revealing that the administration has invited India’s commerce minister for talks with US Trade Representative Jamieson Greer.

“We’re not far apart on a deal. In fact we’re negotiating the nitty gritty of a deal,” Gor testified, suggesting an agreement could be reached within weeks.

The nominee also suggested talks were ongoing for a possible Trump visit to India for the Quad Leaders Summit, just weeks after media reports indicated the president planned to skip the gathering.

However, India’s energy purchases from Russia remain a significant obstacle in bilateral relations. India has defended its policy as necessary for ensuring energy security, but Washington has taken a dim view of New Delhi’s arguments.